Short Sale
The real estate market has certainly seen its challenges over the past couple of years but for buyers there are opportunities available that have not been seen in decades, the short sale. Short sales are becoming more prevalent in the Chicago area and buyers are seeking them out as never before. It is not rocket science to understand the basics of a short sale. Short sales are when a lender agrees to accept less than the amount owed against the home because there is not enough equity to sell and pay all costs of the loan. It used to be that lenders would not even consider short sales if your payments were current but with the changing real estate and mortgage markets more and more lenders are more agreeable to negotiate.
There are several areas you need to be aware of if you intend to pursue a short sale. First of all hire a real estate agent who has short sale experience. Not all agent even know what a short sales is or ever been involved in this type of transaction. An experienced agent can help expedite the transaction and protect your interests. It is important that you not miss any details that could affect the sale somewhere down the road. Next is to prepare the seller for demands made by the lender. Remember the seller has no equity and is unable to pay the difference between the sales price and existing loans. Your seller may need to provide a hardship letter indicating their inability to pay the difference as well as taxes they may owe. Another very important area to address is to make certain the lender is given a deadline in which to respond once the seller has accepted an offer. Some lenders submit short sales to committees but that does not mean a decision could be reached in two to three weeks which lessens the possibility of getting further behind. Remember the lender may not be under any pressure to make a decision and the paperwork could sit on someone's desk so a deadline can be beneficial to everyone involved. One last area to consider with short sales is commissions. The seller may agree to pay a commission but actually the lender is who ultimately will pay. The reason is the seller is not receiving any money in which to pay the commission. Since the lender is losing money they will likely negotiate the commission directly with the listing broker.
Short sales in Chicago can be the path to home ownership for many buyers which are expected enter the market in the next few months. It is not always an easy way to purchase your home or condo but the benefits can be enormous.
Condo Auctions
With the ever changing Chicago real estate market a centuries old process of buying and selling has resurfaced. Condo auctions are becoming one of the most attractive ways to buy or sell real estate no matter if it is your primary residence, vacation home, or investment property. To many people in Chicago a real estate auction is foreign to their way of thinking regarding the purchase or sale of their condo or home, but auctions have long been the primary means of buying and selling real estate in other parts of the country, particularly the south. Auctions are the relatively simple process of buying and selling goods or services by offering them up for bid, taking bids, and then selling the item to the winning bidder. The definition above is the basic auction form but there are several variations, including time limits, minimum or maximum limits on bid prices, and special rules for determining the winning bidder or sale price. Many times the participants may or may not know the identities or actions of the other bidders and they can participate in a variety of ways, such as by telephone, or internet. No matter how the auction is conducted the seller usually pays a commission based on a percentage of the final sales price.
Real estate auctions are exponentially growing due to all the talk we continually hear about the economy and real estate. There are foreclosures, loss of equity and homeowners in trouble and it can make it difficult to sell properties not matter where they are located. The media is helping condo auctions and smart buyers and sellers are using it to their advantage. Real estate auctions attract buyers and they can get the highest and best offer in the shortest amount of time. The media helps with this by talking about how real estate is cheap and now is a great time to buy. Free advertising is being provided so when potential buyers see auction signs they believe a deal is waiting to be made. Additionally, real estate auctions are moving to online sites that cater to our more technologically advanced buying public which many motivated sellers are seeing as an advantage since mass advertising at very little cost can expose their property to the maximum number of buyers possible. More and more real estate agents are discovering that marketing is much less expensive and online condo auctions give them the most bang for their marketing buck. Auctions are a trend that with today's economy will continue to grow.
Owning a Chicago Condo
Home ownership on any level is wonderful. Nothing gives you a sense of pride like owning your own place and if you live in the Midwest there is nothing quite like owning a Chicago condo in which to live. Condo ownership has some very distinct advantages versus a single family home. Let's say you really hate to mow the lawn, trim and pull weeds, then condo living is where you want to be. Maybe you travel a lot for your job or have hobbies that you want to pursue then, condo real estate is what you need. You love to sit around the pool but can't afford one. You have few friends and you want to meet new people. You would really like a large home in a gated community with rules and regulations but can't afford it. Last but not least, there are some great deals in today's market interest rates are lower than they have been in years. All of these things and more are an excellent reason to buy a condo.
Chicago condo properties have become more and more like their own communities. Owning a Chicago condo today involves a tight knit group of friends due to the condo living lifestyle. A close group of friends creates a sense of security knowing you will always have good friends around to help no matter the situation. This sense of community offers frequent social events to take place at the pool or clubhouse which offers many different types of social activities with the total cost spread around rather than paid by a single homeowner.
Condos are king in Chicago when it comes to residential real estate. When it comes time to owning a Chicago condo, there are many areas in which to choose. Chicago is certainly known for its downtown skyscrapers but there are numerous other areas that have their own flavor which offers some of the best values in residential real estate. One definite advantage in the Chicago real estate market when buying a condo is that prices are holding steady and there are numerous developments currently underway or proposed for this year. Construction crews are putting up new buildings and older places are being refurbishing to create condos and lofts. It is estimated that over 4000 units will be built in Chicago in 2009 which puts buyers in a great position to get what they want for a good deal.
Chicago Condos
If you are looking for a low-maintenance lifestyle, maybe in a popular location there is no better place to look than Chicago condos. Condo living in Chicago can offer many benefits that you will not find in a home in the suburbs. They can offer more plentiful amenities, helpful maintenance with snow removal and lawn care, and an active close-knit community. All of these offer a different lifestyle that many find appealing but there are a few things you might want to consider.
- 1. Condos usually have an association that has guidelines, some may be casual but others can be strictly enforced. Get a copy of the rules and guidelines and make sure they will fit in with your lifestyle. Being at odds with the association and possibly your neighbors can make home a much less appealing place to live.
- 2. Chicago Condos come with a variety of benefits but also a cost. Most associations have fees that cover many of the amenities which convinced you to entertain the idea of condo living. Some associations charge a small maintenance fee to cover the basics but depending on the extravagance of what are offered in your complex they can run much higher. Associations are anxious to provide you with their list of fees, what they cover and what is expected of you as an owner. One last thing to consider is to find out if the association is planning on any improvements or upgrades that can raise costs.
- 3. Before you jump at that downtown Chicago condo find out about the community in which you are buying into. Does it fit the lifestyle you want? What is the financial status of the condo association? How many units are vacant? How many units are rented? If possible, talk to some of the owners and find out if they are happy living there, how well the complex is being run, or if they have had past problems and how those problems were resolved. You are buying into an entire community and it is important that you know all you can before making a decision.
There are many Chicago condos for sale in a variety of communities and neighborhoods. Chicago is known for its ethnic groups and communities and condos are being built or re-furbished in almost all of these areas. If you are looking for a different lifestyle in a vibrant community atmosphere there is no better place to look than Chicago!
Buying a Condo
The real estate market today is certainly offering its challenges no matter if you are buying a condo or trying to sell your condo. No one knows what the future holds for you, your family, you job or your finances but buying a home is in most cases the wisest and most financially astute decision you will ever make. If you are a first time buyer everyone wants to give you advice about what to do, many most likely are encouraging you to buy a home. That's all fine and good but ultimately the decision is yours and the more you know about why you should buy a home, the less scary the process will appear to you.
The first thing you need to do when you are thinking about buying a condo is to ask yourself whether it makes more sense to keep renting for a while. There are a lot of advantages to buying a home and in many cases it is a smart choice. Most of the time it is a matter of timing because your life cycle changes and owning condo makes more sense at some times more than others. When you are just getting started with your new job and possibly a new location buying a home may be a little premature. Waiting till later in your career may be a smarter move because you may have settle on your career and location that may end of being a more long term situation. In other words, a more stable plateau in your life cycle is more conducive to owning your own home.
There are many reasons why buying a condo is a good decision other than where you are with your life and career. Uncle Sam helps out home owners with tax deductions on your mortgage interest and real estate taxes. This can mean significant savings over your lifetime which in any economy is an advantage. Speaking of savings there is always the appreciation of owning your own home. Real estate moves in cycles over the years and real estate has consistently appreciates if you stay long enough. It is for most people an excellent hedge against inflation. Many people use the equity in their home in home equity mortgages to fund college educations, retirement accounts and a variety of other uses when money is needed. The advantage here is that interest on those loans are also tax deductible reducing your tax burden.
Homeownership may not always be the best choice depending on your situation but pride of ownership and making an investment in your future makes a strong case when you are thinking of buying a home.
Condominium Law
In most states, condominiums do not have a corporation set up to be responsible for the liabilities, taxes and governance of condos, PUD's or condotels. That is why each state has a special set of condominium laws detailing how condos must be organized and operated. These laws require each condominium project to file a declaration and by-laws, with specific requirements regarding the rights and duties of the association. Condominium statues vary considerable from state to state and many times lack protection for the consumer. While some states provide only the barest framework for creating and governing condominiums others are very complex and can be confusing. Before you buy a condo it would be a good idea to obtain a copy of the state law and consult a trusted real estate attorney.Â
Condominium law can be quite confusing with all the definitions and time well spent may be the key to making a good decision if you are a first time homebuyer or a seasoned homeowner purchasing for the second or more times. Â Some important definitions are contained and been paraphrased in the interest of space.
Declaration - the instrument by which the property is submitted to the provisions of the act. Declarations can be amended from time to time depending on local or state laws.
Unit - means a part of the property designed and intended for any type of independent use.
Common elements - means all portions of the property except the units.
Unit owner - means the person or persons whose estates or interests, individually or collectively, aggregate fee simple absolute ownership of a unit.
Condominium instruments - all documents and authorized amendments thereto recorded pursuant to the provisions of the Act, including the declaration, bylaws and plat.
Common expenses - means the proposed or actual expenses affecting the property, including reserves, if any, lawfully assessed by the Board of Managers of the Unit Owner's Association.
Association - the association of all the unit owners, acting pursuant to bylaws through its duly elected board of managers.
Reserves - those sums paid by unit owners which are separately maintained by the board of managers for purposes specified by the board of managers or the condominium instruments.
The condominium law definitions above are from the Illinois Condominium Property Act first established in 1963. Today the popularity of condo living has exploded throughout the country and laws governing these types of properties are being looked at closely. With baby boomers entering the market interested in moving away from the traditional detached homes, condo living has become much more attractive and laws governing them can be very important.
River North Condos
The River North area of Chicago is considered the heart of the Windy City! It is located just north of the Chicago River and just blocks from the loop and Michigan Avenue. River North is the city's most spectacular neighborhood to shop, dine, play, stay, and live in one of the many River North condos. The area is just steps away from the Magnificent Mile and the State Street shopping corridor-River North is where it all begins in Chicago! It boasts world-class restaurants and trend setting nightclubs. The neighborhood, home of the River North Gallery District, has the largest concentration of art galleries in the United States outside of Manhattan. If it's new and unique it is what people will be reading about in the newspapers tomorrow.
River North is a work in progress. An ongoing renaissance is transforming the old downtown neighborhood into an exciting new district for residents and visitors alike. River North has had many faces over the years. In the 1890's, after railroad tracks were laid along the Chicago River's north bank, industry moved in. Soon the area became known as "Smokey Hollow". After World War II, manufacturing declined and factories closed or were converted into warehouses. By the mid-1970's it was an urban wasteland with many neglected or abandoned buildings. Then the revival dawned. Low real estate prices and large spaces attracted the artistic set and creative entrepreneurs. They moved in and began the reclamation. Great old buildings were rehabbed into great new galleries, studios, offices, restaurants, shops, and condos. Unusual boutiques are now the hallmark of River North offering antiques, custom housewares, home furnishings and much more. Lofts from the 1890's to 1920's attracted lawyers, architects, advertising agencies, and others as well as the real estate investors who rehabbed River North condos. River North has quickly become the fastest growing residential neighborhood in Chicago with prices remaining steady through the last few years of challenging real estate markets throughout the mid west.
River North condos is an eclectic mix where past and present mix with exclusive condos, high rise offices and hotels that soar over vintage loft buildings with the architectural richness of times past. River North is where the very best the city has to offer comes together in one easily walked and vibrant neighborhood, day and night. Discover River North condos in Chicago for yourself and see why this urban neighborhood has something special to offer everyone.
Chicago Condos
This week we're featuring three new developments under Chicago condos for sale. We have the property known as 9 west Erie Lofts, we're featuring the Emerald Condominiums and lastly, Wrightwood Crossing. All three developments are located in the city of Chicago.
The Chicago condos for sale can be found by doing a condo search of all units available through the Multiple Listing Service. The Multiple Listing Service provides an arena for all real estate companies to advertise their own individual listings. It's great for the consumer because they can go to one place and see all the Chicago condos for sale versus going to every individual real estate office all over the city to see what each office inventory looks likes. The MLS provides you detailed reports of each Chicago condo for sale, the price, location, how many bedrooms, etc.
If you looking to sell a Chicago condo and you'd like to have it advertised on the Multiple Listing Service, you'll need to be represented by a real estate company that's associated with the MLS. Ninety-nine out of one hundred real estate offices are members o the MLS. If you're interested in being in the MLS but do not want to list with a company because you do not want to pay the fees of a real estate firm, there are discounted real estate brokerages that will allow you to list for a small fee opposed to a real estate commission. I've seen many of these places advertise a fee of about $300-$500. They would list the property on the MLS and as calls and showings come in, they leave everything else to you.Â
The Chicago market has really picked up in the second quarter versus the first. Almost two times the Chicago condos are closing in the second half. Many Chicago real estate offices are busy and there's a lot of condo buyers looking to take advantage of the $8,000 tax break that ends on November 30th of this year. If you're one of the many looking to take advantage of the $8,000 tax credit break, make sure you start the process of buying your Chicago condominium soon. We're already half way through July and it takes at least a few months to find your perfect Chicago condo. Then you have to finance the condo. That could take roughly thirty days. The best thing to do if you want to take advantage of the tax incentive is to start looking now. Five months will fly by.
Buy a Condo
There are a few things to consider when you buy a condo.   Many people make the mistake of shopping for a condo the same way they would for a house. It is a similar investment but there are several things you need to consider. Many people want to buy real estate to be free of the hazards of apartment dwelling. When buying a condo you are buying a piece of a larger property, basically an apartment. Next, there will be regulations. Condo associations have regulations and bylaws that you must abide by. With the associations you will need to know where your money is going. What does the association fee take care of and what is the breakdown. Next is to thoroughly review emergency maintenance plans. When you buy a condo you are buying a larger piece of real estate, other people's problems can also affect you. Be sure you know the emergency numbers for your association and what problems they cover. Lastly, you should have an inspection before you buy. You not only want the unit evaluated but the entire building and grounds.Â
Another area to consider when you buy a condo is the community in which you are buying. Does it fit the lifestyle you want? What is the financial status of the condo association? How many units are vacant and how many units are rented? If at all possible, talk to some of the unit owners and find out if they are happy living there, how well the complex is being run, or if they have had past problems and how those problems were resolved. Remember you are buying into an entire community and it is important that you know all you can before making a decision.
Condo living offers so many advantages and can accommodate many different types of people. It has become increasing popular with singles all the way to retired couples. Condos are a very viable option for anyone who wants maintenance free living and the freedom to spend their free time as they wish not being pinned down with snow removal, lawn maintenance, or any of the other activities owning a single family home requires. Condo living can also offers many types of amenities not otherwise affordable such as, pools, tennis courts, exercise rooms and much more. All the reasons above is why condo living has become such an attractive home ownership option. If you are thinking of purchasing a home in the near future you may want to consider the condo lifestyle.
Condo Law
In most states, condominiums do not have a corporation set up to be responsible for the liabilities, taxes and governance of condos, PUD's or condotels. That is why each state has a special set of condo laws detailing how condos must be organized and operated. These laws require each condominium project to file a declaration and by-laws, with specific requirements regarding the rights and duties of the association. Condominium statues vary considerable from state to state and many times lack protection for the consumer. While some states provide only the barest framework for creating and governing condominiums others are very complex and can be confusing. Before you buy a condo it would be a good idea to obtain a copy of the state law and consult a trusted real estate attorney.Â
Condo law can be quite confusing with all the definitions and time well spent may be the key to making a good decision if you are a first time homebuyer or a seasoned homeowner purchasing for the second or more times. Â Some important definitions are contained and been paraphrased in the interest of space.
Declaration - the instrument by which the property is submitted to the provisions of the act. Declarations can be amended from time to time depending on local or state laws.
Unit - means a part of the property designed and intended for any type of independent use.
Common elements - means all portions of the property except the units.
Unit owner - means the person or persons whose estates or interests, individually or collectively, aggregate fee simple absolute ownership of a unit.
Condominium instruments - all documents and authorized amendments thereto recorded pursuant to the provisions of the Act, including the declaration, bylaws and plat.
Common expenses - means the proposed or actual expenses affecting the property, including reserves, if any, lawfully assessed by the Board of Managers of the Unit Owner's Association.
Association - the association of all the unit owners, acting pursuant to bylaws through its duly elected board of managers.
Reserves - those sums paid by unit owners which are separately maintained by the board of managers for purposes specified by the board of managers or the condominium instruments.
The condo law definitions above are from the Illinois Condominium Property Act first established in 1963. Today the popularity of condo living has exploded throughout the country and laws governing these types of properties are being looked at closely. With baby boomers entering the market interested in moving away from the traditional detached homes, condo living has become much more attractive and laws governing them can be very important.
